Rosoboronexport marks 20 years in the global arms market


4 November 2020 marks the 20th anniversary of Rosoboronexport, which was established by decree of the President of the Russian Federation as part of the reform of the country’s military-technical cooperation system.

Before 2000, deliveries of Russian arms to the world market were made by Rosvooruzhenie and Promexport as well as by a number of manufacturers. Rosoboronexport (part of Rostec) was set up as the basis of effective vertical executive power in the field of military-technical cooperation. The company received the right to export the entire range of Russian military products, it said.

“Rosoboronexport has become a leader in the international arms market over the past two decades and achieved strong results in promoting products manufactured by domestic enterprises, including those affiliated to Rostec. Its key financial indicators – the order book and the value of deliveries – have increased fivefold since 2000. Over the years, Rosoboronexport has signed more than 26 000 contracts with partners and delivered over $180 billion worth of products to 122 countries around the world,” said Sergey Chemezov, CEO of Rostec and Chairman of the Board of Directors of Rosoboronexport.

Rosoboronexport noted that Russia has consistently ranked second among the world’s exporters of arms and military equipment.

“Our foreign partners have received products worth over $85 billion for their Air Forces. Exports of equipment for air defence and ground forces exceeded $30 billion for each of these services of the armed forces and $28 billion for the navy,” said Alexander Mikheev, Director General of Rosoboronexport and Deputy Chairman of the Russian Engineering Union.

Rosoboronexport expects to launch about 50 new weapons and items of military equipment on the global arms market in the next five to seven years. Potential “bestsellers” include products developed and manufactured by Rostec subsidiaries: Armata-based armoured vehicles assembled at UralVagonZavod (UVZ), the Su-57E fifth-generation fighter jet from UAC, the Ka-52K ship-based helicopter, and the upgraded Mi-28NE from Russian Helicopters. Among the products of other companies, the Antey-4000 air defence missile system from the Almaz-Antey Air and Space Corporation cannot be ignored, Rosoboronexport said.

In addition to the export of military products, Rosoboronexport said it has successfully extended its foreign trade competencies to the construction of infrastructure facilities, provision of space services, and training of foreign specialists in the operation of Russian products. The company has a large portfolio of fulfilled projects for licensed production and joint ventures in India, Jordan, Malaysia, Vietnam and several other countries.

“Today the world’s economies require localization and are interested in technology transfer and job creation. Therefore, Southeast Asian and North African countries, India, and China have already established their own industrial platforms. Rosoboronexport is ready to work on them and, together with industry and Rostec State Corporation, promote Russian high-tech solutions, develop new products jointly with partners,” said Mikheev.

Rosoboronexport is also promoting dual-use and civilian products to foreign markets and is able to deliver non-military and service weapons and is active in the markets of high-tech security equipment, medical equipment, hospitals, and special equipment for public and private structures.

“The President has challenged the defence industry to diversify into manufacturing competitive civilian products. In order to promote them to the world market, Rosoboronexport has set up a special business unit that will deal only with non-military products and assist companies that have no experience in independent foreign trade activities. This is a new direction that the company is implementing together with enterprises both inside and outside the defence-industrial complex. Here we see our responsibility to develop the economy of Russian regions and industry in general,” Mikheev added.